PNB Housing Finance rallies 25% as PAT jumps 45% YoY in Q2

Shares of PNB Housing Finance surged 24.9 per cent to Rs 558 apiece in the intra-day deals on the BSE on Friday after the housing finance company reported stellar performance in September quarter of FY20 (Q2FY20). 

The HFC's net profit jumped 45 per cent YoY to Rs 366.8 crore in the recently concluded quarter, from Rs 253 crore logged in the year ago period. The assets under management (AUM), too, rose 22 per cent to Rs 89,470.6 crore during the period from Rs 73,481.5 crore a year ago. Besides, the Net Interest Income (NII) came in at Rs 628.4 crore, up 36 per cent YoY.

"“With testing times continuing for the sector, the company maintained its focussed approach towards contained business growth, portfolio quality and financial performance. As a prudent practice, the company created excess provisions out of the profits arising on account of corporation tax rate cut announced recently by the Government," the company said in a statement.

The HFC added Rs 12 crore to steady state provision for unforseeable macro-economic factors during the quarter. 

It's asset quality, however, saw slight deterioration. The gross non-performing assets (NPAs) came in at 0.84 per cent of the loan assets as on September 30, 2019 as against 0.45 per cent a year ago, while net NPAs stood at 0.65 per cent as against 0.35 per cent YoY. The company's gross NPA at AUM level stood at 0.73 per cent at the end of Q2FY20.

At 12:40 apm, the stock was trading at Rs 534.55, up nearly 20 per cent. In comparison, the benchmark S&P BSE Sensex was trading 0.16 per cent lower.